OFFICE OF THE TEXTILE COMMISSIONER, MUMBAI

I.                   ACTIVITIES OF THE OFFICE OF THE TEXTILE COMMISSIONER.

 The Office of the Textile Commissioner was established in 1943 during the Second World War period, with the objective of arranging and overseeing supply of cloth to the defence forces as well as civilian population.  After the end of World War II, the Textile Commissioner was made responsible for  administering the prices, distribution and control of certain varieties of cloth meant for civilian  consumption in the post-war conditions of scarcity.  After Independence and with the promulgation of the Industries (Development & Regulation) Act, 1951, the role of this office acquired a developmental character.  The Textile Commissioner is vested with suitable powers under the various Orders issued under the provisions of the Essential Commodities Act, 1955, in order to discharge his regulatory and developmental functions.  The Textile Commissioner also oversees and assists the working of the various Export Promotion Councils (EPCs) in order to promote the export of textile and coordinate the export quota management by the Export Promotions Councils.   The Textile Commissioner’s Office is also the only data bank for all kinds of statistics related to textile industry.  The Textile Commissioner is the principal technical advisor to the Government of India, Ministry of Textiles.  The Head Quarters of Textile Commissioner’s Office is at Mumbai.  It has 8 regional offices located at Ahmedabad, Amritsar, Navi Mumbai, Calcutta, Coimbatore, Kanpur, Chennai & Noida (Delhi).  Besides there are 15 Powerloom Service Centres located at Amritsar, Nagari, Burhanpur, Cuttack, Erode, Kishangarh, Gaya, Malegaon, Mau, Ranaghat, Surat, Kannur & Jammu, Umergaon, Hyderabad.  The main functions of the Textile Commissioner’s Office are:- 

1.                 To advise Government on all important aspects of the textile industry;

2.                 To examine the proposals for expansion/installation of additional spindleage and to recommend licensing of new as well as additional capacity in cases where licensing system continues to be applicable;

3.                 To assist in formulating and implementing Government policy on powerlooms;

4.                 To monitor the pattern of production, supply and distribution of textiles;

5.                 To collect and analyse statistical data regarding textile production, consumption and export and to formulate policies thereon;

6.                 To help the industry secure adequate supplies of raw material and to recommend application for import of textile machinery and spare parts;

7.                 To monitor the prices, production and distribution of yarn;

8.                 To look after all aspects of development of textile machinery industry;

9.                 To monitor the implementation of Textile Workers’ Rehabilitation Fund Scheme (TWRFS);

10.            To oversee and assist in the working of various Export Promotion Councils in order to increase the export of textiles;

11.            To examine proposals relating to foreign collaboration and foreign technical assistance;

12.            To look after the various aspects of consumer protection relating to textile industry;

13.            To monitor the closure and sickness in the textile industry;

14.            To prepare pre-budget memorandum to the Govt. based on the various recommendations received from different textile industry associations for incorporation in the budget proposal and to analyse the impact of the budget proposals and recommendation for changes after the budget for submission to the Ministry of Textiles for recommendation to the Ministry of Finance;

15.            To provide vital inputs for formulation of important developmental/financial schemes/plans like Technology Upgradation Fund Scheme for Textile & Jute Industries, Technology Mission for Cotton, upgradation of testing laboratories/PSCs etc;

16.            To oversea/monitor the implementation of various developmental schemes;

17.            To co-ordinate the activities of PSCs and provide guidance to the TRAs who run majority of the PSCs; and

18.            To provide to the Govt. evaluation inputs on R. & D. proposals from TRAs for govt. funding.

The work relating to the above functions of the Textile Commissioner is carried out by its Head-quarters Office, the Regional Offices and the Powerloom Service Centres.  Purview of some of the important functions of the Office of the Textile Commissioner is given below:-

Regulatory and Enforcement Functions:

1.          Textiles (Development & Regulation) Order, 1993:

          The Textiles (Development & Regulation) Order, 1993 is issued by the Union Government under Section 3 of the Essential Commodities Act, 1955.  It empowers the Textile Commissioner to issue directions regarding specifications of cloth, yarn or other textile products, fixation of maximum or minimum quantities of production prices, the manner of packing the yarn in hank, cone   or any other form and markings on the cloth, yarn and other textile products for ensuring proper distribution and maintenance of accounts.

 2.                 Textiles (Consumer Protection) Regulation, 1988:

These Regulations are issued by the Textile Commissioner under Textiles (Development & Regulation) Order, 1993, and provide for stamping fibre composition, date of manufacture, indication whether the cloth is damaged, defective or seconds and forbids storage or sale of yarn/cloth without statutory markings and stamping on face-plaits the name of manufacturer. 

3.     Hank Yarn Obligation Scheme 

                        As per the powers delegated to him under the T(D&R)O, 2001, the Textile Commissioner issues notifications, requiring the manufacturers of yarn to pack certain percentage of yarn packed by him for civil consumption during a particular period, in hank form. Such Notifications is issued to ensure adequate availability of hank yarn at  reasonable price to the Handloom sector, one of the weakest section of the textile industry. Presently, Hank Yarn Packing Notification No. 2/TDRO/8/2003 dated 17/4/2003   is in force, which require every producer of yarn (manufactured wholly from cotton)  to pack 40% of total yarn packed for civil consumption during each quarterly period, in hank form. Provided further that not less than 80% of the yarn required to be packed in hank form shall be in counts 40s and below. Certain category of yarn like hosiery yarn, sewing thread, industrial yarn, mixed yarn of various counts reeled from cop bottoms and yarn used for captive consumption are not coming under the purview of this Notification.

 4.          Cotton Control Order, 1986:

          The Order empowers the Textile Commissioner to regulate the stock holding of cotton by the processors of seed cotton, manufacturers of yarn and traders and also to inspect, search and seize cotton stocks, wherever necessary.  Whenever necessary, Textile Commissioner issues Notification to limit the stock holding of the manufacturers, traders and/or cotton ginning and pressing factories.  This Control Order also empowers the Textile Commissioner to call for periodical data of cotton processing and stock holding for statistical and planning purposes.

 5.          Textiles Statistical Returns Notification:

          Textile Commissioner’s Office functions as a Data Bank for the textile industry.  In order to ensure regular flow of statistical information, the Textile Commissioner issued Notification, according to which every producer or manufacturer of man-made fibres, tops, yarns, cloth and other textile products, has to furnish true and accurate information and statistics relating to their units.

 DEVELOPMENTAL FUNCTIONS

1.                 Licensing and Registration.

This office looks after the licensing system and offer Technical comments of the Minister of Industry (SIA) in respect of the following:-

A)                100% Export Oriented Units. (EOU)

B)                Units in Export Promotion Zones (EPZ)

C)               Units manufacturing items reserved for SSI sectors seeking to extent SSI limit with intended Export obligations.

D)               Units falling within 25km of the limits of city of more than 1 million population as per 1991 census and located in industrial areas as such declare prior to 24^th July, 1991.  (In accordance with the Industrial policy of July, 1991, the scheme of exempted industrial Registration (EIR) has been replaced by the industrial entrepreneur memorandum (IEM) to be filed to SIA of Ministry of Industry.      Such memoranda are referred to this office by SIA for examination and comments.  These units are required to submit the Information Memorandum (IM) to the office of  the Textile Commissioner in accordance with T(D&R) Order, 1993 along with SSI units.)

2.                 Cotton and Raw Material

The cotton and raw material needs of the country are monitored by this office.  The cotton Advisory Board (CAB) under the chairmanship of Textile Commissioner composed of members representing union agriculture and textile ministries, the cotton growing states, marketing federations, cotton growers, cotton  trade associations, powerloom and handloom sectors and ICMF.  The CAB prepares the cotton balance sheet and also makes an estimate of cotton crop every year.  The CAB also advises the Government on all matters pertaining to production, consumption and marketing of the cotton.  The cotton division in this office process the application for export quota of cotton.  The other are material needs, their availability, procurement, processing and development of new technologies pertaining to new fibres are also monitored from this office.  All the matters relating to Import and export of these fibres, allotment of quota for furnace oil and LPG are also handled in this office.

3.          Development of Powerloom Sector:

Production of cloth as well as generation of employment have been rapidly increasing in the powerloom sector.  This sector not only contributes significantly to the cloth production in the country but also provides employment to millions of people.  During 1995-96, the production of cloth, in the decentralised powerloom sector was 17,201 million sq.mtrs. while employment generation was 6.92 million.  During 1998-99 the corresponding figures were 20,552 million sq.mtrs., & 4.05 million respectively.  The powerloom industry produces a wide variety of cloth, both grey as well as coloured with intricate designs.  The contribution of powerloom sector in the total cloth production of the country is to the extent of 56.77% excluding the cloth produced by non-SSI, weaving and hosiery/knitting units.  Powerloom fabric also successfully competes in the global market and contributes significantly in the export earnings of the country. 

Modernisation assistance to the Powerloom sector :

          Inspite of the basic strength (strong fibre and production base) of the Indian Textile Industry, we have not been able to increase our share in the global market for textiles and clothing beyond 3.0%.  With the scheduled dismantling of quantitative restrictions of the MFA and the consequent globalisation of the market in textiles and clothing, our industry will naturally be exposed to stiff competition in markets abroad.  It is imperative, therefore, for the Indian Textile Industry to take urgent steps to bridge the existing technological gap, in order to make the quality of our textiles comparable to products from our major competitors.  This gap is most visible in the weaving and processing sectors.  The powerloom sector, which accounts for a major protion of the cloth produced in the country, suffers from a woeful lack of modernisation.

           In view of the urgent need for modernisation of the Weaving & Processing sectors of the Textile Industry, Govt. Of INDIA has set up a Technology Upgradation Fund (TUF) for the Textile Industry.

            Considering the felt need to upgrade technology in different segments of the textile industry, Government of India has launched a Technology Upgradation Fund Scheme (TUFS) for textile and jute industry w.e.f. 01.04.1999 for a period of 5 years, i.e. upto 31^st March 2004.  There is no cap on funding under this scheme.  It is an open-ended scheme depending on the capacity of the industry to absorb funds in bankable and techno-economically feasible proposals.  Technology levels are benchmarked in terms of specified machinery for each sector of the textile industry.  Machinery with technology levels lower than that specified will not be permitted for funding under the TUF Scheme.

The details of the scheme are as under: -

i)                   The scheme  provides a reimbursement of 5% point on the interest charged by the lending agency on a project of technology upgradation in conformity with this scheme.

ii)                  The identified sectors in the textile industry, viz., cotton ginning & pressing, spinning, silk reeling & twisting, wool scouring & combing, synthetic filament yarn texturising, crimping and twisting, manufacturing of viscose filament yarn (VFY), weaving/knitting including non-wovens and technical textiles, garments, made-up manufacturing, processing of fibres, yarns, fabrics, garments and made-ups and the jute sector are eligible to avail of these concessional loans for their technology upgradation requirements.  Investments in common infrastructure or facilities by an industry association, trust or co-operative society and other investments specified are also eligible for funding under the scheme.

iii)                IDBI is the nodal agency for textile industry excluding SSI sector and SIDBI is the nodal agency for SSI textile sector and cotton ginning and pressing sector. IFCI is the nodal agency for the jute industry.  IDBI has co-opted 65 financial institutions comprising of 3 AIFIs, Exim Bank, 15 scheduled commercial bank and 46 SFCs / SIDCs / Twin Function IDCs. SIDBI has co-opted 130 financial institutions comprising of 81 scheduled commercial banks, 2 co-operative banks, Exim Bank, and 46 SFCs / SIDCs / Twin function IDCs.

iv)               Loans under the scheme are extended by the nodal agencies/co-opted institutions to the identified segments of the industry for the projects in conformity with the scheme from their own resources. Government funding is limited to reimbursement of interest at 5% point on the interest charged by the lending agency on a project of technology upgradation in conformity with the scheme.

v)                Progress of TUFS till 28.2.2000 : Annexure enclosed.

To assist the Powerloom sector towards Modernisation/Renovation under refinance facility scheme, Government of India in the MOT had formulated a scheme for modernisation of plain Powerlooms and have urged that the requisite bank finance may be made available under the scheme. NABARD has since decided to extend refinance support for the modernisation of powerlooms as envisaged in the government of India Scheme.  The broad terms and conditions for seeking refinance from NABARD for financing under this scheme will be those as are applicable under the General Refinance Scheme.  However, NABARD vide their circular No. 25/95-96 dtd. 09.10.95 have made the following modifications/relaxations in the above scheme.

a)                In addition to the cost of looms with accessories and installation expenses, investment on other essential items including workshed, working capital for operating cycle etc. may form part of the project outlay, provided the scheme is otherwise technical feasible and financially viable.

b)                The ceiling of 4 looms stipulated under the scheme for individuals may be relaxed on merits of each case and the number of looms per individuals  borrower be decided by the financing bank depending upon the need, managerial capability of the borrower and bankability of the project.

Workshed-cum-housing scheme for powerloom weavers :

          In the powerloom sector, the improvement in the place of work is an important infrastructural support for the weaver.  An improved workshed or house-cum-workshed provides better work environment, more space, improves working hours and enables installation of improved looms.  Keeping this in view, the government has in principle decided to implement the workshed-cum-housing scheme with an estimated investment of about RS. 270 crore during IX Five Year Plan period.  The scheme is yet to be started.

 4.          Export Promotion:

          This office deals with deals with all activities related to promotion of textile export.

          The Textile Commissioner is the Chairman of the Enforcement Committee (E.C.) constituted under quota policy, and staff committee of AEPC, ISEPC and PDEXCIL.  The Enforcement Committee examines cases of mis-declaration and fraudulent action on the part of exporters for appropriate debarment and legal action.  The appeals on the forfeiture of BG/EMD for non-fulfilment of export obligation are heard by senior officers’ appellate committee constituted by the Textile Commissioner.

 5.          Monitoring the availability and the prices of hank yarn:

          This office monitors availability and prices of hank yarn which is the main input of the widely dispersed rural based handloom textile sector.  The hank yarn price monitoring committee meets regularly at every quarter and discusses actions to be taken to ensure that the hank yarn is made available to the handloom weavers in adequate quantity at a reasonable price.

 6.          Information and administration:

          Economic & Statistics Division which consists of sections like Statistics, Costing, Prices and monitoring, survey and computer cell, handles all work relating to collection of data, compilation, analysis and interpretation.  This office is a single most important source of data to the government as well as to the industry. The ERMIU has been set up in this office with an objective to built-up comprehensive & reliable national & international data base and to analyse & interpret such data for making timely forecast of trends in production, consumption, prices etc.  The ERMIU has been made operational with latest computer facilities. 

          This office also monitors the sick Textile units and liaisons with RBI, commercial banks, Financial institutions and BIFR in the context of re-habilitation of sick textile units.  Monitoring the progress of Textile units  under Textile Modernisation Funds  Scheme (TUFS), cost studies of specific textile items and the survey of particular segments of the textile industry, publication of journals containing textile statistics on yearly basis are some of other functions looked after by the Economic and Statistic divisions in this office. 

7.       Textile Workers’ Rehabilitation Fund Scheme (TWRFS).

          The Scheme was formulated in 1986 as the part of Textile Policy of 1985 by the Ministry of Textiles, to provide interim relief to the Textile mill workers of closed textile mills earning wages not exceeding RS. 2,500/- per month.  This scheme is administered by the textile commissioner and the workers are provided relief for the period of 3 years on tapering basis to tide over their unemployment and consequential financial constraints till they find alternative avenue of income.  

8.          Consumer Protection Measures.

          Consumer awareness programmes and campaigns are taken up in the various part of the country in collaboration with textile committee and voluntary organisations.  Quality and price parameters of the textile items manufactured, traded and imported are monitored.   The consumer are made aware of their rights and environment as well as health aspect of the textiles.

The office of the Textile Commissioner, Ministry of Textiles, Government of India and the Office of the Textile Committee,  a statutory Body under the administrative control of the Ministry of Textiles, are jointly organising/conducting  seminars, symposia etc., in various parts of the country from time to time in order to make the general public, textile manufacturers, processors, traders, wholesalers, semi-wholesalers, cutting and packing houses, shops and establishment holders, retailers and stockists, etc, to be aware of and comply with/follow the provisions  and directions of the markings/stamping Regulations.  The consumers have a right to be informed about the quality parameters and other essential information of all textile items from  the angle of consumer protection concept.  Therefore, this office had conducted 53 Consumer Awareness Meetings all over the country to make the people aware of their rights as well as environment and health aspects of the textiles. 

9.                 Planning and budgeting inputs:

Economic and statistics division of this office handles all work relating to collection, compilation, analysis and interpretation of data pertaining to textile industry.  It also examines pre-budget representations from various textile industrial associations regarding tax structure and concessions and sends its comments to the Minister of textiles.  In respect of textile machinery, it sends comments to the ministry of industry. 

10.     Other developmental activities:

          In addition to the functions of the Textile Commissioner's Office enumerative above, the following activities/aspects will be worth noting.

a)                The Textile Commissioner and the Senior Officers in the Head Office, spend more than 95 to 98% of their time on developmental activities and only a few officers who supervise the work of regional offices spend a little more time (may be, 5 to 7%) on supervision of such work.

b)                The Textile Commissioner and his officers spend a substantial part of the time in taking up various issues and problems raised by the industry and trade with the ministry or other authorities as facilitators.

c)                 This office provides all technical, fiscal, trade and production related inputs to the Ministries of Textiles, Industry, Commerce and Finance as and when required.

d)                The Textile Commissioner's office is being now fully involved with the coordination among the TRAs, compilation of their research results, dissemination thereof to the industry and generally assisting the TRAs in upgrading their research facilities and problem solving capabilities.

e)                Taking up awareness campaigns and organising seminars for educating the textile industry in general and the decentralised sectors viz, powerloom, processing, knitting and garment sectors in particular about the implications of the WTO, open competition and the need for technology upgradation, quality improvement etc., during 1998, 38 consumer awareness programme were conducted.  During 1999, 29 TUFs seminar, 15 Consumer awareness programmes and 3 technical seminars on ITMA (textile machinery technology) were conducted.  20 more consumer awareness seminars and 5 to 6 TUFS seminars will be held till March, 2000.  The Ros are fully involved in these programmes.

II. Activities Of The Regional Offices of Textile Commissioner

 The Textile Commissioner has its field offices called the Regional offices located at 8 places in the country viz. Ahmedabad, Amritsar, Calcutta, Chennai, Coimbatore, Kanpur, Mumbai and Noida (Delhi).  The functions of the Regional offices are

1.                 Monitoring the progress of the implementation of installed capacity granted.

2.                 Administration and implementation of import and export policy and procedures.

3.                 Monitoring the fulfilment of hank yarn obligation by the mills

4.                 Implementation of consumer protection regulations.

5.                 Handling court matters on behalf of Textile commissioner and Ministry of Textiles.

6.                 Monitoring closure and re-opening of mills.

7.                 Processing of applications with regard to eligibility and disbursement of funds under Textiles Workers Re-habilitations Funds (TWRF) Scheme.

8.                 Attending complaints of consumers relating to mills and powerloom industry.

9.                 Overall supervision of powerloom Service Centres located in geographical jurisdiction of the regional office.

10.            Supporting, counselling and facilitating the decentralised textile sectors, such as powerlooms and small processors, for taking up TUF scheme, quality upgradation, promoting exports.

11.            Undertaking periodic surveys, census or studies, compiling and updating on the textile industry from time to time.

12.            Instead of routinely implementing stamping regulations, educating small manufactures and traders about the need for and method of complying with the legal requirements.

13.            Providing feed back to the Head office and/or to the ministry on various issues raised or problems faced by the industry and seeking solutions thereto.

  With the liberalisation of industry, the Regional offices are assuming the role of guide to the development and modernisation of Textile industry, rather than the policing job.  Officers of the Regional offices have been advised that they should visit more and more modern units in the private sector and acquaint themselves with the latest technology, and thereafter they should assume the role of a guide for the new enterpreneurs/consumers.  The Regional offices have started conducting seminars/workshops/mill visits etc., in this direction.  The Textile commissioner has directed to all field officers to be proactive and solve the problems of industry and general public with persuation and perseverance.

III. Activities Of The Powerloom Service Centres .

            The objectives of the Powerloom Service Centres have been broad-based as below :

 (a)          To impart practical training and skill to powerloom weavers and those who are interested in taking to this vocation to help them acquire the requisite knowledge and skill in weaving to improve their efficiency and skill in producing better quality clothes and in stepping up their productivity;

 (b)          To impart training in the various aspects of loom working, loom maintenance and tuning, loom repairs and servicing;

 (c)          To disseminate knowledge and techniques to powerloom weavers by visiting groups of such weavers on certain fixed days of every month, in increasing productivity and efficiency, reducing wastage and minimising cloth damage at minimum possible costs;

(d)          To guide the powerloom weavers about modernisation, the manner in which they may go about it and the agencies which they may approach for financial assistance for it;

 (e)          To carry out an annual survey to collect and compile statistical information on the number of powerloom units and looms and also on the number of powerlooms modernised and to make an assessment of the effect of such modernisation on production, productivity and quality of the products of the units;

 (f)          To guide the powerloom weavers in marketing their products, including availing themselves of the export opportunities;

 (g)          To provide testing facilities to the powerloom sector;                  

(h)          To conduct Seminars/Workshops and organise exhibitions for the benefit of the powerloom sector;

 (i)          To co-ordinate the powerloom development activities with the State Government Authorities;

 (j)          To act as an agent to transmit the problems of the powerloom sector to appropriate quarters for solving them;

 (k)          To provide technical consultation facility by rendering technical service; and

 (l)          To advise and guide powerloom units in design development and diversification of activities so as to facilitate their achieving economy in the scale of operations.

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